During the year, the following transactions were completed: a. Raw materials purchased on account, $275,000. b. Raw materials used in production, $280.000 (materials costing $220,000 were charged directly to jobs: the remaining materials were indirect). c. Costs for employee services were incurred as follows: d. Rent for the year was $18,000 ( $13,000 of this amount related to factory operations, and the remainder related to selling and administrative activities) e. Unily costs incurred in the factory, $57,000. f. Advertising costs incurred Is140.000. 9. Depreciation recorded on equipment, $100,000. ( 588,000 of this amount related to equipment used in factory operations, the remaining $12,000 related to equipment used in selling and administrative activities) h. Manufacturing overhead cost was applied to jobs, 5??. 1. Goods that had cost $675,000 to manufacture according to theirjob cost sheets were completed 1 Sales for the year was $700,000 Work in Process \begin{tabular}{|l|l|l|l|} \hline Beginning Balance & Cebit \\ \hline Ending Balance & & & \\ \hline & & & \end{tabular} Gold Nest Company Income Statement For the Year Ended The company uses a job-order costing system in which overhead is applied to jobs on the basis of direct labor cost. Its predetermine overhead rate is based on a cost formula that estimated $330.000 of manufacturing overhead for an estimated activity level of $200,000 direct labor dollars. At the beginning of the year, the inventory balances were as follows: Gold Nest Company of Guandong. China, is a family-owned enterprise that makes birdcages for the South China market. The compary sells its birdcages through an extensive network of street vendors who recelve commissions on their sales. The company uses a job-order costing system in which overhead is applied to jobs on the basis of direct iabor cost its predetermined overhead rate is based on a cost formula that estimated $330,000 of manufacturing overhead for an estimated activity ievel of $200.000 direct labor dollars. At the beginning of the year, the inventory balances were as follows